* Boost from upbeat EIA demand forecast, Greek bailout hopes
* Higher heating fuel demand in U.S. due to heavy blizzard
* IEA raises oil demand growth estimate for 2010
(Updates throughout)
By Christopher Johnson
LONDON, Feb 11 (Reuters) - Oil climbed to around $75 a
barrel on Thursday, buoyed by hopes of a rescue plan for the
beleaguered Greek economy and by upbeat predictions of oil
demand growth by two major forecasters.
European Union leaders met in Brussels on Thursday to agree
on a financial bailout for Greece, a package that will demand
deep fiscal and economic adjustments by Athens. []
The euro rose against the dollar on Thursday as investors
increasingly anticipated that the EU, led by Germany and France,
would help Greece avoid default. []
In other supportive news, the International Energy Agency
said on Thursday global oil demand would grow by 120,000 barrels
per day (bpd) more than previously expected in 2010 to average
86.5 million bpd. []
The forecast was in line with the latest projections from
the U.S. Energy Information Administration, which on Wednesday
predicted world oil demand would rise 1.2 million bpd in 2010.
[]
The EIA also expects oil prices to average $81 a barrel in
the second half of the year, up 9 percent from current levels.
U.S. crude for March delivery <CLc1> jumped 61 cents to
$75.13 a barrel by 1118 GMT, after settling 77 cents higher at
$74.52 a barrel on Wednesday. London Brent crude <LCOc1> rose 75
cents to $73.29.
"Everyone is waiting for the outcome of today's EU summit on
a rescue for Greece," said Carsten Fritsch, oil analyst at
Commerzbank in Frankfurt.
"The market hopes there will be a bailout, which would raise
risk appetite and should boost the euro against the dollar, both
factors that should support oil prices."
BLIZZARD
A bailout of Greece could alleviate worries about the fiscal
health of the euro zone, increasing demand for riskier assets
such as commodities and oil.
European shares rose on Thursday for the fourth consecutive
session, with banks the major gainers before the EU summit.
[]
Oil prices got a boost from signs of higher heating fuel
demand as a second blizzard in a week buried the U.S. Northeast,
breaking a century-old snowfall record in the nation's capital
and leaving thousands without power. []
U.S. heating demand this week is seen 11.5 percent above
normal, weather services said. []
Traders will scour U.S. weekly inventory data from the EIA
due on Friday for further clues on the rate of demand recovery
in the world's largest oil user.
The EIA's weekly data, normally released on Wednesdays at
10:30 a.m. EST, will be delayed until Friday due to the snow
blanketing the U.S. capital.
A report from the American Petroleum Institute (API) on
Tuesday showed crude inventories jumped by 7.2 million barrels
to 337.6 million last week, against expectations of a rise of
1.5 million, and despite a drop in crude imports and weekly
crude runs. []
Gasoline inventories also rose more than expected, climbing
1.6 million barrels to 228.8 million, exceeding analyst
estimates of a 500,000-barrel build. []
(Additional reporting by Jennifer Tan in Singapore; editing by
Sue Thomas)
